Can SOL Sustain Above $200?
On February 4, 2025, Solana (SOL) saw a 10% price surge, briefly stabilizing above $200. This rebound pushed its market capitalization back above $100 billion. However, despite this recovery, SOL’s trading volume declined by approximately 40%, settling at $8.9 billion.
The key question remains: Can Solana maintain this bullish momentum, or is another correction on the horizon? The answer largely depends on whale accumulation trends and how SOL interacts with its crucial resistance and support levels in the coming days.
Whale Activity in Solana Shows Signs of Recovery
After a recent dip, the number of Solana whale addresses—wallets holding at least 10,000 SOL—rose to 5,120, up from 5,096 just four days prior. Although still below the all-time high of 5,167 recorded on January 25, this uptick indicates continued interest from large investors.
Notably, whale accumulation spiked from 5,054 addresses on January 17, highlighting the persistent demand among major players. Since whale activity can heavily influence market trends, their growing presence suggests underlying confidence in SOL’s long-term prospects.
If this trend continues, it could stabilize Solana’s price and potentially drive further gains in the near future.
SOL’s Market Trend Remains Indecisive
Technical indicators suggest that Solana’s momentum is at a turning point. The Directional Movement Index (DMI) reveals an Average Directional Index (ADX) of 33.5, up from 23 just four days ago. While the ADX briefly peaked at 36.2, its current level still signals strengthening market activity.
- ADX above 25: Indicates a strong trend.
- ADX above 50: Suggests an extremely strong trend.
At present, Solana’s +DI (bullish strength) stands at 14.7, a notable rise from 6 the previous day. Meanwhile, the -DI (bearish strength) has fallen to 26.99, down from 39 two days ago. This shift implies that selling pressure is weakening, but bullish momentum remains relatively weak.
If the +DI crosses above the -DI, Solana may enter a confirmed uptrend. Until then, the market remains in a state of indecision.
Key Resistance and Support Levels
Solana currently trades between $222.8 (resistance) and $191.69 (support), with short-term moving averages trending below long-term averages. Although the bearish trend appears to be losing strength, there is no clear breakout yet.
Potential Scenarios:
- A breakout above $222.8 could trigger a sustained rally, potentially targeting $250+ in the short term.
- A drop below $191.69 could lead to further declines, possibly testing $180 as the next support.
For traders, monitoring these levels will be essential to gauge whether Solana is poised for further gains or if another correction is imminent.
Is SOL Ready for Another Rally?
The recent whale accumulation and improving technical indicators provide a bullish argument for Solana. However, trading volume decline and uncertain momentum still present risks. If whales continue accumulating and bullish indicators strengthen, SOL may sustain above $200 and push toward new highs.
For now, Solana remains in a critical consolidation phase, making the coming days crucial for its next major price movement.
